The Fiscal Cliff Spectator
With the fiscal cliff behind us, a four-year war over government spending is about to begin. The dates of the first three battles have already been announced:
The $1.2 trillion sequester automatically cuts $100 billion a year for the next decade, beginning on March 2, unless Congress passes and the president signs a waiver, delay, or replacement.
The second battle begins on the day America exhausts its borrowing authority and hits the debt ceiling. This is estimated to take place on or around March 14. Then, if both houses of Congress do not vote to allow the debt ceiling to be raised, the president and the Treasury Department cannot legally borrow more money. Republicans in the House and Senate have invoked the Boehner rule, demanding that the debt ceiling not be raised unless the legislation also contains spending cuts over the next decade equal to the size of the debt ceiling hike.